TMI Blog2019 (7) TMI 1417X X X X Extracts X X X X X X X X Extracts X X X X ..... or. In the facts and circumstances of the case, Section 87 (c) of the Finance Act is not applicable. Appeal allowed - decided in favor of appellant. - Service Tax Appeal No. 53555, 51864 of 2018-SM - Final Order Nos. 50933-50934/2019 - Dated:- 11-7-2019 - MR. ANIL CHOUDHARY, MEMBER (JUDICIAL) Shri Yash Dhadda, Advocate for the appellant Shri K. Poddar, Authorised Representative for the respondent ORDER ANIL CHOUDHARY: Heard the parties. 2. The issue in these appeals are whether the show cause notice can be issued in the name of a dead person proprietor, and whether the adjudication order has got any legal sanctity. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... en paid. It also appears that summons were also issued to late Shri Jata Shankar Singh, the appellant on the basis of the information received from NPCIL, and it also appeared to Revenue that late Shri Jata Shankar Singh had received towards provision of services ₹ 1,22,35,150/- during the period 2008-2009 to 2011-2012 and the service tax was payable at ₹ 13,43,760/-. Accordingly, show cause notice dated 21.10.2013 was issued invoking the extended period of limitation demanding service tax along with proposal to impose penalty. 6. In response to the show cause notice to legal heir filed reply through his advocate informing that the proprietor has died on 07.06.2010 and enclosed a copy of the death certificate. He ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was liable to pay the tax adjudicated on late Shri Jata Shankar Singh, in terms of Section 87 (c) of the Finance Act. Being aggrieved, the legal heir, Shri Sanjay Singh have filed the present appeal before this Tribunal. 9. Ld. Counsel for the appellant Legal Heir, states the facts that late Shri Jata Shankar Singh died on 7.6.2010.Further, the admitted fact is that the show cause notice has been issued on a deceased person. He further submitted that Section 87 of the Finance Act provides for recovery of any amount payable by a person, which is/was adjudicated dues during the life time of an individual. There is no provision to serve a show cause notice on a deceased person or on the legal heir, thereafter adjudicate and r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Thus, it appears that the legal heir was carrying on the business and accordingly, they have rightly been held responsible to pay tax as alleged. 11. Having considered the rival contentions, I hold that the issue of show cause notice in the name of deceased person under the provisions of Finance Act, 1994, is ab initio void in view of the ruling of the Hon ble Supreme Court in the case of Shabina Abraham (supra). Further, I find that there is no specific provision or machinery provision for recovery of tax dues, after death of the proprietor. In the facts and circumstances of the case, I hold that Section 87 (c) of the Finance Act is not applicable. Accordingly, the appeals are allowed and the impugned orders are set aside. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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